regulation

At the height of the financial crisis, credit markets seized up and liquidity disappeared. In the aftermath of Lehman’s bankruptcy, this caused huge headaches for investors, institutions, and regulators. It may surprise you to learn then, that turnover in these markets is lower today than it was at the nadir...
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Currently, the market’s ‘story’ for the global banks is not a positive one. Increasing regulation, the threat of fines and lawsuits, and a general investor-apathy have conspired to make banks an unpopular investment. Nick Kirrage, Portfolio Manager at the Schroder Global Recovery Fund, says it’s this negative story that’s created...
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Last week, Apple CEO Tim Cook told analysts that “India is moving fast. They are moving at a speed that I have not seen in any other country in the world.” Despite this and many other positive endorsements, investors often procrastinate and identify reasons not to invest in India’s growth....
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It’s been a quiet month for gold, with the yellow metal up slightly, despite a reduction in net longs, minor ETF outflows, and a rally in risk assets. Sentiment has definitely turned though, with a buy-the-dips mentality emerging amongst banks, including UBS and Credit Suisse, whilst Peter Grandich thinks “the...
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Liquidity continues to be an ongoing concern for fixed income participants and market regulators globally. Recent high profile failures of funds run by Third Avenue Management, Stone Lion Capital Partners and Lucidus Capital Partners sparked somewhat of a panic, at least in credit markets. The main cause of these failures...
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Greg Medcraft is lucky to still be the Chairman of ASIC. The eighteen-month extension to his term gives him an opportunity to fix the many problems he hasn’t done much on in his first five years. As a the graphic below from a recent review of ASIC’s capabilities shows, there’s...
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Five years ago the extent of credit losses was the biggest risk for investors looking at financials, today regulation risk is the unknown. According to Uday Chiruvu, of PM Capital, as credit markets across the globe have improved the questions investors need to understand are around the minimum capital levels...
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Faced with a housing bubble similar to that of the US 5 years ago, New Zealand has tried a novel way of controlling the bubble without raising interest rates and jeopardising sluggish 2.5% GDP growth. In a strategy that has recommended for Australia, The Sydney Morning Herald has reported that...
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